Internet of Things and Data Analytics Handbook

45INTERNET OF THINGS BUSINESS MODELS

HUBERT C.Y. CHAN

The Hong Kong Polytechnic University, Hong Kong, China

Almost all businesses are aware of the potential gains that the Internet of Things (IoT) has to offer but are unsure of how to approach it. This chapter proposes a business model that builds on the work by Turber et al. [1]. The model consists of three dimensions: “Who, Where, and Why.” “Who” describes collaborating partners, which builds the “Value Network.” “Where” describes sources of value co‐creation rooted in the layer model of digitized objects, and “Why” describes how partners benefit from collaborating within the value network. With the intention of addressing “How” the proposed framework has integrated the IoT strategy category, tactics, and value chain elements. The framework was then validated through the case studies of some successful players of Hong Kong.

45.1 INTRODUCTION

IoT is an integrated part of Future Internet. According to the agreed protocol, any article can be connected and talk to each other. This can be achieved through a vast number of methods and technologies, including radio‐frequency identification (RFID), near‐field communication (NFC), infrared (IR) sensors, and many more. The IoT paradigm is a result of the convergence of three main visions: Internet oriented (middleware), things oriented (sensors) and semantic oriented (knowledge) [2]. However, the identification of the killer application and the definition of the underlying business ...